It started when the premier of Ontario, Doug Ford, announced a 25% price hike on the electricity the province sells to several U.S. states, including New York and Michigan.
Trump responded a few hours later saying the U.S. would double his planned tariffs on steel and aluminum from 25% to 50% for Canada.
By Tuesday afternoon, Ontario backed down on its threat.
Premier Ford said the U.S. Commerce Secretary Howard Lutnick called him and Ford agreed to remove the surcharge. He said he was confident that the U.S. president would also stand down on his own plans for 50% tariffs on Canadian steel and aluminum.
“He has to bounce it off the president but I’m pretty confident he will pull back,” Ford said on Trump’s steel and aluminum tariff threat. “By no means are we just going to roll over. What we are going to do is have a constructive conversation.”
Trump told reporters that he’s looking at returning the steel and aluminum tariffs on Canada to 25% and would “probably” do so.
